Latin American nations implement energy and mining policy shifts

Latin American nations are implementing various measures to manage energy costs and mining development. In Colombia, President Abelardo De La Espriella ordered the reversal of a planned 46-peso per gallon increase in gasoline prices for October. The initial hike, intended to support ethanol producers in the earthquake-affected Valle del Cauca, was halted as the government seeks permanent solutions to international oil price volatility.

In Honduras, the National Congress has established a technical committee involving the transport sector, government ministries, and the private sector. The group aims to mitigate the economic impact of fuel price fluctuations. Discussions have highlighted that fuel subsidies in Honduras have exceeded 1.3 billion lempiras, significantly higher than the 650 million lempiras originally budgeted.

Guatemala has implemented a three-month temporary tax exemption (Decree 22-2026) to reduce fuel costs for consumers. This measure suspends VAT and the Petroleum Distribution Tax on regular gasoline, superior gasoline, and diesel until December 31, 2026.

Regarding mining, Paraguay is pursuing plans to extract uranium, titanium, lithium, and rare earths. The government is working on a new Mining Code to provide legal security for international investors. In Peru, Cerro Verde reported transferring US$9.045 billion to the state over 20 years, while Petroperú is working on operational recovery to strengthen fuel supplies through its Talara and Iquitos refineries.